Investors love to have options, and an exit strategy should always form part of the list of options. According to the pure doctrine of fundamental analysis, investors should get out of an investment when it has reached its fair value. In theory, this is certainly true, but how to define fair value? Especially in crypto investments, defining the fair value of a token, or an NFT is extremely difficult.

First of all, it is pretty easy to create an NFT, and quick. An NFT can be created within minutes, and anything can be sold as such. The value of an NFT is mainly determined by how much a potential buyer is willing to pay. Popular examples of valuable NFTs are The Pixel, which sold at almost $1.3 million dollars at a Sotheby's auction in April 2021. One of the most expensive NFT was created by Mike "Beeple" Winkelmann titled "Everydays: selling for $69.3 million! And I don't even want to get into the Bored Apes Yacht Club."

So, some might wonder, how come that such high prices for some "questionable" arts are being achieved on the secondary markets. Well, if we want to believe on-chain analysts, a major part of it is due to wash trading.

Wash trading, meaning executing a transaction in which the seller is on both sides of the trade to paint a misleading picture of an asset's value and liquidity. The goal would be to make one's NFT appear more valuable than it really is by “selling it” to a new wallet the original owner also controls. This would be relatively easy with NFTs, as many NFT trading platforms allow users to trade by simply connecting their wallet to the platform, with no need to identify themselves.

This is where BocasDAO with its own twist on NFTs differs from 99% of all the other NFTs. All our NFTs are backed by real life value! Therefore, the value of our NFTs is determined mainly by their collateral, which are mostly accommodation rights at the future crypto resort.

In this way, investors have a reference point to calculate the value of the NFTs. At this point, the collateral of the NFTs is limited to milestones achieved (land acquisition and permits) and to the vision of BocasDAO. It is likely that with each step we take towards our goal of opening the hotel, the value of the NFTs will increase.

The future looks bright, even brighter when you can lock in your holidays for next 30 years in the Caribbean. And if 30 years sound a little long for you, well, reselling, lending, or using it as a collateral for a loan, crypto makes it all possible, without the middleman.